Konecranes and Kito Dissolve Strategic Alliance

Konecranes and Kito Corporation have decided to dissolve the strategic alliance signed on 23 March 2010 between the companies. While the alliance has been successful in certain areas, the parties have agreed that it is in the companies’ interests to pursue their respective strategies independently.

The non-exclusive cross-distribution arrangements between the companies remain valid. Konecranes will continue to sell Kito manual products (chain hoists and lever hoists) using the Konecranes brands, whereas Kito will continue to sell wire rope hoists made by Konecranes under its own brands.

The dissolution of the strategic alliance will allow Kito to participate in the bidding process for Stahl CraneSystems that Konecranes has committed to divest in relation to its pending acquisition of Terex’s MHPS business.

Kito has repurchased 5,950,000 shares and has been consolidated as an associated company in Konecranes’ financial reporting.

Manheim, Pa., U.S.-based Harrington Hoists Inc. is a Kito group company and a manufacturer of electric chain and wire rope hoists, air powered hoists, lever hoists, manual hand chain hoists, trolleys, cranes, crane components and below-the-hook and material handling equipment.